Oglethorpe Company Reports the Following Information from the Vertical Analysis

question 45

Multiple Choice

Oglethorpe Company reports the following information from the vertical analysis of their balance sheet: Current assets:
23.5 % in 2017
23.9% in 2016
Which of the following statements could be logically concluded from the above data?

• A)The company's ability to pay current liabilities declined.
• B)The company's current ratio declined.
• C)The company's total current assets declined by 0.4%.
• D)The company's current assets declined in proportion to its total assets.

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Definitions:

Exaggeration

Deception by commission involving “stretching the truth” or embellishing the facts.

Name Calling

A form of verbal abuse involving derogatory language intended to demean or insult someone.

Referent Power

A form of influence based on the ability to attract others and build loyalty through charisma or personal traits.

Coercive Power

Power based on the use of sanctions or punishments to influence others.